Income Tax (Charge)
Josh MacAlister Excerpts(1 month, 3 weeks ago)
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Josh MacAlister (Whitehaven and Workington) (Lab)
On 4 July, the British people voted decisively for one clear promise: the promise of change. The Budget delivers on that promise. We have change, from years of short-termism, unmanaged decline and a weak, unbalanced economy with anaemic growth, to a long-term plan for the future of Britain that invests in the British people, our public services and our infrastructure.
The theme of today’s debate is protecting working people, so I put on record my strong support for two particular measures. First, I support the substantial increase in the minimum wage for all workers, but in particular the massive 18% boost for apprentices. That is a pay rise of £1,800 a year for an apprentice working 30 hours a week. I have more apprentices in my constituency than most, because of our nuclear industry, so that minimum wage rise will make a considerable difference.
Secondly, I support the Government’s £240 million investment to tackle the root causes of economic inactivity and to support people back into work. The large number of people, particularly young men, who have fallen out of the labour market since the pandemic is an enormous social and economic problem. I know that the Front-Bench team will grip that problem with the resources that this Budget provides.
I will also make a wider point about investment and getting Britain building again. The Conservative plan was for public investment in this Parliament to decline sharply. Low public investment has been a feature of our economic formula for years, and the results are well known: poor infrastructure, low productivity and sluggish growth. A boost of £100 billion over the next five years will begin to reverse the under-investment we have seen from the Conservatives and act as a magnet to attract significantly more private investment.
The key question is how we put that money to use in generating growth. Taking west Cumbria as an example, we have a coastal railway line that runs from Carlisle to Barrow through my constituency. If we upgrade that line, we get 1,500 extra jobs and £1 billion of gross value added to the UK economy. To realise the benefits of high levels of public investment and the jobs that come with it, we also need planning reform. Without that, the public investment commitment in the Budget will get caught in a web of delays, diversions and high costs.
The Budget is welcome. It is one measure that the Government have taken, and there are a series of others, including planning reform, that will help get Britain back on track.